NO.PZ202207040100000304
问题如下：
Which of the following steps is Abernathy least likely to recommend to address the behavioral biases that Carlucci believes exist in the larger funds?选项：
A.Establish stop-loss rules B.Institute stricter rules for diversification C.Actively seek contradictory information解释：
SolutionA is correct. Establishing stop-loss rules is most likely to address loss aversion bias, which is an emotional bias whereby investors tend to prefer avoiding losses over achieving gains. Stop-loss rules do not address illusion of control or confirmation bias.
B is incorrect. Illusion of control refers to the human tendency to overestimate one’s ability to select stocks, influence outcomes, and outperform the market. An illusion of control could lead to excessive trading and heavy weighting on a few stocks. Investors should enforce proper trading and portfolio diversification rules to try to avoid this problem.
C is incorrect. Confirmation bias is the tendency of investors to look for information that confirms their existing beliefs about their favorite companies and ignore or undervalue any information that contradicts their existing beliefs. The consequences of confirmation bias are a poorly diversified portfolio, excessive risk exposure, and holdings in poorly performing securities. Actively seeking the opinions of other team members or other information to challenge existing beliefs will help mitigate this bias.
stop-loss为什么只能解决loss aversion bias的问题呢?
illusion of control和confirmation bias不都是对目前持仓理解的错误所导致的吗?只要设定强制止损不就都可以避免了?
